MANSFIELD — Tom Vanderhorst said there are 61 port authorities throughout Ohio, a state with 88 counties.
“It’s almost a competitive disadvantage not to have one,” Vanderhorst, a financial specialist at the Richland Area Chamber & Economic Development, told county commissioners Thursday.
He was joined by Ellen Heinz, president and CEO of the Richland Area Chamber & Economic Development, to discuss the possibility of commissioners establishing a countywide port authority.
Mansfield Mayor Jodie Perry and Jessica Gribben, economic development manager for Shelby and northern Richland County, also attended Thursday’s meeting.
A port authority is granted several powers through Ohio Revised Code, including the ability to own land, levy a property tax and assist in redeveloping environmentally challenged sites, according to the Ohio Council of Port Authorities.
It can also manage and operate foreign-trade zones.
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Port authorities are considered a separate political subdivision, Vanderhorst said.
“We feel like that’s the way it operates most efficiently, to have one entity that does this,” he said.
Through previous experience working for the City of Hamilton, the financial specialist said he’s seen large economic development projects which might have taken off quicker had the tools a port authority offers been in place.
He said creating a port authority could also help Richland County enhance and stimulate economic development and growth.
How is a port authority formed?
Vanderhorst outlined action items for commissioners to complete, should the three-member board decide to move forward.
In order to create a county port authority, commissioners would need to consult with an attorney, pass legislation, appoint board members and adopt bylaws, he said.
Commissioner Tony Vero said port authority boards can range anywhere from three to nine members. Both he and Commissioner Darrell Banks agreed five members would be the desired number.
The initial cost to establish the authority would be no more than $25,000, Vanderhorst said.
Benefits for local community
Among other powers, port authorities can provide sales-tax exemptions to businesses in exchange for a fee.
“Sales tax exemptions (are) one of the big initial tools that I think you’ll see the port authority trying to utilize,” Vanderhorst said. “The commission that’s paid off of these exemptions to the local port can be used for things that we need to do already.”
The financial specialist added that port authorities can make loans, guarantee other loans and facilitate borrowing.
These powers are something that would allow Richland County to be more competitive when it comes to economic development, he said.
“I’ve seen potential moves for businesses too, where they say, ‘I can go to this county and get an exemption on my materials. Can you do that here?'” Vanderhorst said.
Within the past two weeks, Heinz said she was contacted by a business asking if the county had its own port authority.
Richland County has previously utilized other port authorities for some projects, Vero said.
“Why would we want to have a port authority outside of Richland County when we can have our own board generating its own revenue for use in Richland County?” he asked.
Vero cited on-going efforts at the 14 acres of former Westinghouse properties and a future soccer complex near Bellville as projects which may benefit from a port authority.
Commissioners took no formal action Thursday, but agreed to pursue cost estimates and information gathering for the potential formation of a port authority.